Morgans gives its verdict on these ASX 200 mining giants

Let's see what the broker is saying about these miners.

| More on:
A female miner wearing a high vis vest and hard hard smiles and holds a clipboard while inspecting a mine site with a colleague.

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Key points

  • Morgans remains optimistic on a leading gold giant, maintaining an accumulate rating due to strong quarterly results and future positioning despite slightly softer guidance.
  • A prominent lithium miner exceeded expectations in production and revenue, but its shares are now viewed as overvalued, leading Morgans to downgrade to a sell rating.
  • An energy giant's strategic agreement with a US midstream player prompted Morgans to upgrade to a buy rating, citing reduced execution risks and strengthened infrastructure delivery.

There are a lot of options for investors to choose from in the mining sector.

To narrow things down, let's take a look at what Morgans is saying about three ASX 200 mining giants.

Here's what the broker is recommending to clients:

Newmont Corporation (ASX: NEM)

This gold giant released a solid third quarter update this month according to analysts at Morgans.

And while its guidance for FY 2026 was a touch softer than it was expecting, it remains positive and believes it is well-positioned for the future. As a result, the broker has put an accumulate rating and $148.00 price target on its shares. It said:

NEM delivered a solid 3Q25 result across all metrics underpinned by the strong gold price. Production was in line with expectations but costs, adjusted EBITDA and adjusted net income was a beat to consensus expectations. Net debt reduced to US$12m (from US$1,422m in the previous quarter). CY26 indicative guidance was slightly softer than expected due to mine sequencing, but this positions NEM for strong production and lower costs in subsequent years. Maintain ACCUMULATE with a A$148ps target price (previously A$146ps).

Pilbara Minerals Ltd (ASX: PLS)

This lithium miner impressed with its first quarter update. Morgans notes that its production, costs, and revenue were all ahead of expectations for the three months.

However, with its shares rallying strongly in recent months, the broker feels that they have been overvalued. This has seen Morgans downgrade the ASX 200 mining giant to a sell rating but with an improved price target of $2.80. It said:

Strong 1Q26 result with production, costs and revenue ahead of expectations. PLS continues to engage with the government following the Australia-US critical minerals framework. Management stipulated its preference for shared infrastructure initiatives over potential price floors. Following recent share price strength we believe PLS is now trading well ahead of fundamentals and we therefore move to a SELL rating (previously HOLD) with a A$2.80ps target price (previously A$2.30ps).

Woodside Energy Group Ltd (ASX: WDS)

Finally, this energy giant delivered a strong third quarter update. In addition, it has announced an agreement with Williams Companies (NYSE: WMB) for the Louisiana joint venture, which Morgans believes de-risks infrastructure and feedgas delivery.

In light of the above, the broker has upgraded this ASX 200 energy giant to a buy rating with an improved price target of $30.50. It said:

On the heels of a strong 3Q25 operational and sales result, Woodside has announced the entry of US midstream player Williams into the Louisiana JV. Given the magnitude of execution risk Woodside faces at Louisiana, we appreciate the strategy to de-risk infrastructure and feedgas delivery. To form a view on the value of the Williams deal we need to gain a better grasp of the pipeline agreement, with the two deals obviously indirectly linked.

Doing good things, and apparently a good week to have good news macro wise, it is little surprise Woodside shares are gaining support. We upgrade our rating to BUY (from ACCUMULATE) post the recent selloff with a A$30.50 target price.

Motley Fool contributor James Mickleboro has positions in Woodside Energy Group. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Share Market News

Three women dance and splash about in the shallow water of a beautiful beach on a sunny day.
Energy Shares

ASX 200 energy sector leads the market ahead of OPEC+ meeting

OPEC+ will meet today to decide whether to maintain its pause on oil production increases.

Read more »

Broker written in white with a man drawing a yellow underline.
Broker Notes

Top brokers name 3 ASX shares to buy next week

Brokers gave buy ratings to these ASX shares last week. Why are they bullish?

Read more »

A male investor wearing a white shirt and blue suit jacket sits at his desk looking at his laptop with his hands to his chin, waiting in anticipation.
Broker Notes

Buy, hold, sell: Amcor, ANZ, and Macquarie shares

Does a leading broker think investors should be buying these blue chips? Let's find out.

Read more »

A man casually dressed looks to the side in a pensive, thoughtful manner with one hand under his chin, holding a mobile phone in his hand while thinking about something.
Opinions

Where I'd invest $10,000 in 2026 in ASX shares aiming to beat the market

These businesses look like very appealing buys today.

Read more »

a woman with lots of shopping bags looks upwards towards the sky as if she is pondering something.
Opinions

The pros and cons of buying Zip shares in 2026

There are positive and negative aspects about Zip shares right now…

Read more »

A happy male investor turns around on his chair to look at a friend while a laptop runs on his desk showing share price movements
Broker Notes

Buy, hold, sell: CBA, REA Group, and Xero shares

Morgans has given its verdict on these popular stocks. Let's see if it is bullish on them.

Read more »

A man in a suit looks serious while discussing business dealings with a couple as they sit around a computer at a desk in a bank home lending scenario.
Share Market News

Here's what Westpac says the RBA will do with interest rates in 2026

Stick or twist? Let's see what the RBA could do with rates this year.

Read more »

A woman stretches her arms into the sky as she rises above the crowd.
Best Shares

Fastest rising ASX 200 share of each market sector in 2025

These shares outperformed their sector peers last year.

Read more »